Seaweed Production Development Project
PHI/89/004

by

VENUS P. OROGO
National Consultant Cooperative Management

The Project Area: Eastern Sorsogon and Sorsogon Bay

Abstract

This Business Plan is developed as a practical reference for cooperative leaders of the PHI/89/004 project beneficiaries in the implementation and management of a 1 hectare Seaweed Cooperative Farm for Sorsogon, Philippines. This Business Plan can also be used as a management tool for decision making for the cooperative and as an investor's guide or basis for a loan proposal for banks and other financial institutions.

The development of this Business Plan is based on the technical reports of Dr. Nyan Taw, Chief Technical Adviser, Mr. Luis V. Guanio, Marketing Consultant and project documents prepared by Mr. Faustino Taclan, Project Leader and the Project Staff.

The use of this Business Plan is only to the extent of defined scope and purposes. Hence, it is not a substitute for good management of a project or a substitute for entrepreneurial ability of investors.

This document contains the background, rationale of Seaweed Production Project and the technical, market, financial and organizational specifications for the implementation of a 1 hectare Cooperative Seaweed Farm Project.

Seaweed Production Development Project
BUREAU OF FISHERIES AND AQUATIC RESOURCES
FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONS
UNITED NATIONS DEVELOPMENT PROGRAMME
Manila, Philippines
April 1994

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Table of Contents

I. Brief Description of the Project

A. Name of Cooperative

B. Product Line

C. Project Classification

D. Total Project Cost

E. Target Market

II. The Project

A. Background Rationale

B. Objectives

C. Project Description

III. The Product/Technology

A. Product Description

B. Seaweed Farming Technology

1. Species

2. Site Selection

3. Environmental Conditions

4. Farming

5. Growth

6. Farm Maintenance

7. Harvest/Post Harvest Operations

C. Location and Capacity

IV. The Market

A. Industry Situation

1. Supply

2. Demand

B. Target Market

1. Gulaman Bar Processors

2. Refined Agar Users

3. Bacteriological Grade Agar Users

4. Seaweed Processing Plants and Exporters

C. Marketing, Pricing and Distribution

D. Entry Strategy

1. Product

2. Pricing

3. Promotion

4. Distribution System

E. Coop Entry Strategy

V. Financial Information

A. Total Project Cost

B. Projected Income Statement, P

C. Distribution of Net Income (Surplus or Savings), P

D. Projected Cash Flow Statement, P

E. Profitability Indices, %

F. Financial/Technical Assumptions

VI. Management and Organization

A. Background

B. Project Management and Organizational Structure

C. Implementation Plan, 5 years

VII. Project Impact

A. Relevance to Times and Priorities

B. Relevance to the Industry

C. Transfer of Technology and Knowhow

D. Socio-Economic Impact

E. Environmental Impact

List of Tables

Table 1. Volume and Value of Seaweeds, Philippines, 1987–1991

Table 2. Cultured Seaweeds Production by Region, 1987–1991, MT

Table 3. Project Implementation, 1993–1998